The ministry has instructed the provincial and local levels not to impose such taxes and fees, saying that some local levels have been imposing taxes and fees on the transportation of goods passing through their own routes.
What you should know
The federal government has directed the provinces and local levels not to levy taxes and fees on the internal transportation of goods. The federal government's Ministry of Finance has issued this directive, stating that there is no legal provision for provincial governments and local levels to levy any type of tax or fee on the transportation of goods or the extension of services from one province to another or from one local level to another.
The Ministry of Finance issued a statement on Wednesday, referring to the decision taken by Finance Minister Rameshwor Khanal on Tuesday. The attention of this ministry has been drawn to the news published in the Kantipur National Daily on 20 Mangsir 2082 under the title ‘ Dhankuta’s cardamom to Dharan ’, the statement said, ‘The Constitution of Nepal, the Intergovernmental Finance Management Act, 2074 BS and the Local Government Operation Act, 2074 BS do not provide for the provincial government and local levels to impose or collect any type of tax and fee on the transportation of goods or services from one province to another or from one local level to another.’
However, the ministry has directed the provincial and local levels not to impose such taxes and fees, saying that some local levels have been imposing taxes and fees on the transportation of goods passing through their own routes.
‘In the present context, contrary to the provisions of the Constitution of Nepal and the prevailing laws, the collection of any kind of tax and fee on the transportation of goods that are shipped from another district or local level and only pass through the relevant local level for transportation will have a negative impact on local farmers, businessmen and the economy,’ the ministry’s statement said. ‘We request that all provincial governments and all local levels through the Office of the Prime Minister and Council of Ministers be informed to make arrangements to not impose and not impose any tax, fee and fee contrary to the Constitution of Nepal and the prevailing laws.’
